Study Of The Influence Of Consumer Credit On Consumption Demand In China

The influence of the US subprime mortgage crisis is not lost, the European sovereign debt crisis intensified, the global economy fell into the recession phrase again, as a result, the foreign trade export growth of China faced a shrinking situation. At the same time, according to the World Bank’s statistical data, in2010, the per capita gross national of China had reached4260us dollars, China’s economic and social development had stepped into a new stage and began to step into middle-income countries club. Even so, livelihood issues are still one of the highly valued issues of a government at all levels, they’re still one of the main issues in the Two National Conferences which have just ended. To deal with the falling of export and enhance the national income level as to properly solve the problems of the people’s livelihood, there is no doubt that expanding the domestic demand is once again become an important policy for the government’s adjustment of macro-economic. The twelfth five-year planning puts the consumption on the top, definite the leading position consumption in promoting the economic growth of the three carriages. Constantly guiding and encouraging consumption must be the first choose of stimulating consumption demand, even domestic demand, and economic development.According to the history of consumer credit in Western countries, consumer credit is one of the effective methods of stimulating consumer demand growth, thus promoting the economic development. Compared with western countries, the development of consumer credit in our country is not well, for the government, the attention of consumer credit is still not enough。 Obviously, researching and analyzing the consumer credit’ s on consumption demand in our country objectively, thus putting forward some suggestions of developing consumer credit that stimulates consumption demand and expands domestic demand, have the profound theoretical and practical significance.In this paper, according to the theory of consumer credit, we structure a consumer credit model with liquidity constraints, and analyze the effect of consumer credit based on it; then analyze the situation of consumer credit in our country, come to a conclusion by the positive analysis showing that the existence of liquidity constraints does have an impact on the consumption behavior of people. The consumption level of people with liquidity constraints is lower than those who are the not facing liquidity constraints. Consumer credit and consumption demand are reciprocal causations, expanding the consumer credit benefits the improvement of consumption demand, by contrast, the improvement of consumption demand makes more requests for the consumer credit. Finally, give suggestions about developing consumer credit from the government, financial institutions and consumer...